After a loss the previous year, global steel company ArcelorMittal declared a record annual profit for 2021 on Thursday, boosted by rising raw material costs.
Despite lower output, the corporation made a net profit of $14.9 billion (13 billion euros) in 2020, compared to a $733 million loss the previous year.
After the pandemic led the global economy to tank, the company lost its top spot as the world’s largest steel company to China’s Baowu in 2020.
Last year, when economies emerged from COVID constraints, demand for raw materials and commodities increased, forcing prices to skyrocket.
The worldwide economic upswing following the lifting of the initial COVID-19 limitations encouraged strong demand in all regions, providing extremely high levels of profitability,“ stated Aditya Mittal, CEO.
Last year, it produced 69.1 million tonnes of crude steel, down from 71.5 million tonnes in 2020, but higher pricing allowed the business to make a large profit.
Iron ore output decreased to 58 million tonnes in 2020, down from 50.9 million in the previous year.
In 2021, ArcelorMittal’s revenue increased by 44% to $76.6 billion.
